At a meeting Tuesday to discuss county budget concerns, justices of the peace expressed a hesitancy to resolve the issue with tax increases.

Pope County’s budget troubles are highlighted in a report by the Cooperative Extension Service that noted a slight, but steady, decline in county revenues, Justice Kim Virden said. When combined with an increase in expenses as gas, health care and other costs of doing businesses, he said there is a time in the near future when revenues will no longer be sufficient to cover the county’s budget.

The two major revenue streams for the county’s general fund are proceeds from personal property taxes and sales tax. Most talk has previously centered around a proposed millage increase to boost property tax revenues.

Justice Don Daily said he felt a sales tax was the “lesser of two evils” but noted he wasn’t necessarily advocating a sales tax increase. Justice Mary Metz-Blaylock agreed with him.

“I just hate to see us raise the millage, because I just feel it’s such an unfair tax for us to impose,” she said.

Justice T.J. Curtis noted sales tax proceeds are split between the county and its municipalities, which would dilute the county’s benefit from a sales tax increase. Justice R.E. Hodges said a sales tax affects the people that can least afford it.

The general consensus among justices was that a sales tax measure would not be popular with voters and also risked putting the local sales tax so high it could drive consumers to spend their money out of the county.

Effective Monday, the state sales tax rate will be 6.5 percent.

Pope County has a 1 percent sales tax, and consumers in Russellville pay an additional 1.5 percent.

While a sales tax didn’t seem to be a popular proposal, justices also spoke against a millage increase.

“I’m against the millage right now,” Justice David Ivy said. “... I need to know and be completely convinced that we’ve cut everything that we can cut. Not necessarily that everybody’s going to get what they want, but they’re going to get what they need.

“Now, that’s a hard process. That’s a hard process, but until we get to that point there’s just no way I can — I’ve not had personally ... I’ve not had anybody tell me they’re for a millage increase.”

Justice Doug Skelton suggested the county look toward current income sources it isn’t taking advantage of before raising any taxes.

“I don’t think the voters of Pope County are going to vote for a sales tax increase, nor are they going to vote for a millage increase for county general when we’re giving our money away, such as the PILT funds,” he said.

The county currently gives $362,000 in federal Payment in Lieu of Taxes (PILT) funds to school districts within the county, Skelton said. He suggested the county, over a two-year period, wean the schools off those funds and add them to the county’s general fund.

“That’s gonna leave us with a flush hand for a while,” he said.

No decision was reached Tuesday, but justices continue to consider their options for the future.